A car for you in 172…

Posted: 4:21 pm June 30, 2017

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WHETHER you’re looking to trade up for a brand new or you’re simply planning on buying a second hand car, Letterkenny Credit Union (LKCU) is here for you! When it comes to financing the purchase of a car, many people simply look for the lowest rate on offer and believe it to be the best option. Headline rates may attract the most attention, but the devil is very much in the detail. Many ‘car finance loans’ offered by garages and some banks are actually hire purchase agreements.

The main difference between using a personal loan and a hire purchase agreement to buy a car is that with a personal loan you own the car instantly. With a hire purchase agreement, you don’t own the car until you make the final repayment. This means you cannot sell the car if you run into problems making your repayments. When you arrange finance with LKCU before going shopping for a car, you are effectively going as a cash buyer to the car dealer, and may well be able to negotiate a better deal.

LKCU is reporting a recent increase in the number of car loan enquiries from the Letterkenny community and further afield. The upsurge may be down to two factors. The weaker sterling may have fueled increased interest in buying a car from the UK. While recent media coverage of the concern around the unregulated nature of PCP agreements may have encouraged people to opt for the more traditional route of the car loan.

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Thankfully, a car loan from your local credit union is much more straight forward. Paul Hume, Chairperson of Letterkenny Credit Union said “You borrow the money from us, pay for the car and you own the car immediately. You agree a repayment schedule with us. If you run into difficulty, you can talk to us to see if you can come to an agreement on the repayment terms. Should you be in the happy position of being able to repay the loan early, you may do so without any penalty charges.”

5 REASONS WHY A CREDIT UNION CAR LOAN IS THE WAY TO GO…

YOU OWN IT
Unlike other finance options such as hire purchase or personal contract plans, with an LKCU car loan, you own he car from day one. It’s yours to do with as you please.

NO SNEAKY FEES
There are no administration charges, hidden fees and no balloon payments.

FLEXIBLE REPAYMENT TERMS
You can pay off your car loan early, make additional lump sum repayments or increase your regular repayments, without a penalty. Other finance providers may charge you extra for paying them back faster.

COMPETITIVE RATES (AND MAYBE EVEN A LOAN INTEREST REBATE)
As well as offering very competitive car loan rates, LKCU may offer loan interest rebates at the end of the financial year.

FREE LOAN PROTECTION COVERLKCU has taken out, at no extra cost to you, a loan protection insurance policy to protect and provide you with added peace of mind when you borrow. This free life assurance cover is unique to credit unions and is designed to pay off your loan in the unfortunate event of your death, thus relieving you of unnecessary future worry and relieving your loved ones of the burden of a debt owing.

“If you have made the decision to purchase a new or second hand car, remember to pop into us here at Letterkenny Credit Union. Our friendly staff will tell you all you need to know about our great value car loan rate.” Paul concluded.

Donegal News is published by North West of Ireland Printing & Publishing Company Limited, trading as North-West News Group. Registered in Northern Ireland, No. R0000576. St. Anne's Court, Letterkenny, County Donegal, Ireland